News
Sep 29, 2008Co-Produced Fluids Report
The following the Alberta Co-Produced Fluids Report; electricity generation in the Western Canadian Sedimintary Basin.
CPF_Geothermal_Electricity_Sept_2008.pdf
Sep 29, 2008
CanGEA Moving Geothermal Forward!
CanGEA’s mission is to remove hurdles in the geothermal industry to help move geothermal forward in Canada, some days it feels like we’re juggling cats….
Sep 24, 2008
Geothermal Reporting Code
Article from IGA Newsletter July-September 2008 (GA News No. 73)
Australia develops world’s first geothermal reporting code
The development in Australia of the world’s first uniform code for assessing geothermal energy resources could generate a wave of investment in the sector. With this more rigorous and consistent standard applied to reporting Reserves and Resources, investors will be more confident and those projects that are more worthy will find it easier to attract financial support.
The Australian Geothermal Resources and Reserves Reporting Code was unveiled in August at the AGEG Annual Conference in Melbourne.
The Code is a response to the recent trend for the financing of geothermal development companies through stock market listings. Whilst this presents a welcome market-driven mechanism for funding the exploration and development of geothermal prospects, informed decisions about investment are difficult to make given the long development path from exploration to power generation. In particular it is difficult for investors to have confidence in the claims made by developers about the energy resources and reserves available within each project.
Although geothermal energy extraction and electricity generation is a mature industry, to date there has not been a universal or even widely agreed code for reserves and resources reporting. Given the current and future intense interest surrounding renewable energy forms, a standardized and trusted approach to geothermal energy resources and reserves classification and estimation was long overdue.
A unique aspect of the Code is that it has been designed to apply both to “conventional” magmatic-related high temperature geothermal resource developments, lower temperature hot aquifers, and Hot Rock systems.
The rapid pace of development of Australia’s geothermal industry is perhaps not widely appreciated. Since the grant of the first Geothermal Exploration License (GEL) in Australia in 2001 through year-end 2007, 33 companies have joined the hunt for renewable and emissions-free geothermal energy resources in 277 license application areas covering ~19,000 km2 in Australia. The associated work programs correspond to an estimated investment of AUS$851 million over the period 2002-2012.
Because many of the companies active in the Australian geothermal industry have a strong mining background, developing a standard based around mineral reserves was deemed the most suitable approach. The simplicity and wide acceptance of the reporting code that is most commonly used for reporting of mineral reserves and resources (the Joint Ore Reserve Committee’s “JORC” Code) made it a natural choice for the basis of the new geothermal code.
The resulting Australian Geothermal Resources and Reserves Reporting Code covers a minimum, mandatory set of requirements for public reporting of estimates. While it tabulates a large number of issues to be considered in reporting, it is not particularly prescriptive as to methodology.
A key distinction that the Code makes is that ‘Reserves’ are deemed to be energy that is considered to be commercially recoverable now. ‘Resources’, on the other hand, require further work to be classified as Reserves. Confusion between these two classifications can be the root of confusion for investors, especially when there is intense marketing going on to raise funding. The code relies upon a two dimensional classification taking into account levels of geological knowledge and confidence and Modifying Factors which directly affect the likelihood of commercial delivery.
The Code is accompanied by a ‘Geothermal Lexicon’ that provides guidance on how resources and reserves can be estimated for reporting purposes. The techniques described in the Lexicon are not a mandatory part of the code. However, any significant deviations from the Lexicon should be disclosed and explained when reporting under the Geothermal Code. Example reports are under preparation.
At the time of writing the first edition of the Code and Lexicon had been extensively reviewed and agreed within AGEG, with a formal launch in mid-August. The Australian Geothermal Energy Association (AGEA) has resolved that use of the Code will be mandatory for Public Reports by its members, which include all of the significant geothermal companies in Australia. The draft Code and Lexicon were submitted to the International Geothermal Association (IGA), which has recognized the Code as appropriate and endorsed the Lexicon. The International Energy Agency has also received a submission.
Preliminary discussions have been held with the Australian Securities Exchange (ASX), and copies of the Code and Lexicon have been submitted to the Toronto Stock Exchange and the Ontario Securities Commission.
Future hopes
It is hoped that once the Code becomes accepted by the investment community in Australia it will become the basis for a more uniform international approach to the issues. In an open letter to AGEG, the President of the International Geothermal Association, Dr Ladislaus Rybach said: “… we commend you on the effort that has been put in and the rigour of the approach taken.” The Chairman of IGA’s Ad Hoc Committee on Reserves and Resources, Jim Lawless of SKM, says that this more rigorous approach could assist the geothermal industry around the world. “The Code gives investors the chance to measure different schemes and brings some consistency to the business.”
“There have often been differing opinions in the past about what to measure and how to measure it,” says Mr. Lawless. “By standardizing reporting of Reserves and making it mandatory to define what is actually commercially recoverable now, the Code will facilitate investment and inspire more confidence in geothermal schemes.”
For copies of the Code and Lexicon, contact:
Mr. Tony Hill
Principle Geologist
Petroleum and Geothermal Group
Primary Industry and Resources SA
GPO Box 1671
Adelaide SA 5001
Email: .(JavaScript must be enabled to view this email address)
Sep 24, 2008
National Geographic to Air Video About Geothermal Energy
On September 28 and 29, National Geographic will air a video called “Preserve our Planet: Steam Drillers.” From their Web site:
“Join Mega Green Tech as it journeys around the globe in search of what is perhaps the Earth’s most available green energy: geothermal power. Visit Iceland, where an abundance of geothermal energy is helping Icelanders achieve an incredible 70% green energy use overall. Explore the world’s largest geothermal power complex in northern California, and hear from scientists and visionaries racing to help geothermal technology not just dig deeper into the Earth’s hottest layers but also to try to expand the potential of geothermal power across the planet.”
Please visit: http://www.ngcasia.com/watch/program_details.aspx?id_program=6464
Sep 24, 2008
Google Grant will Allow SMU to Map Geothermal Resources
Google.org’s announcement to grant $489,521 to the Geothermal Lab in SMU’s Dedman College of Humanities and Sciences will allow Southern Methodist University to provide information on the potential for geothermal energy production in new regions and to update mapping of resources.
According to the press release, Dave Blackwell, Hamilton Professor of Geothermal Studies in SMU’s Roy M. Huffington Department of Earth Sciences, and Maria Richards, Geothermal Lab coordinator, previously collaborated on the Geothermal Map of North America for the American Association of Petroleum Geologists in 2004. It included the oil and gas industry thermal data to the research quality heat flow data, and shows the potential for enhanced geothermal systems development nationwide.
.Dave Blackwell’s career has been based on collecting heat flow data - he’s done this for 40 years,” Richards explained. .But there are parts of the country that have never been researched in detail - whether by Dave or other researchers in the geothermal community. This is an opportunity for the geothermal industry, via SMU, to collect data in places where there is virtually no data.”
The news release is available at http://www.smu.edu/newsinfo/releases/07240.asp
Sep 24, 2008
Australia: Government to Provide $50M for Drilling
Great news from Australia! This article is from the GEA Weekly Update August 26th, 2008, which is provided to all members.
Australia: Government to Provide $50M for Drilling
Australia’s Minister for Resources and Energy, Martin Ferguson, has announced a $50 million Geothermal Drilling Program, according to abc.net. The grants will fund drilling of geothermal wells.
“The industry indicated . . . what they want to prove is a couple of successful opportunities and then hope that one of those investors is able to take it to a commercial demonstration plant which then will encourage the private sector to further invest in the industry,” Ferguson told ABC.
Visit: http://www.abc.net.au/news/stories/2008/08/20/2340898.htm?section=justin
Sep 23, 2008
Low Temperature Geothermal Electricty Production
Good news for low temperature geothermal!
The ORMAT ORC 250kW unit is up and running in Wyoming on low temperature fluids as demonstration and testing of the equipment. It is producing a net of 225kW (the machine is 250kW gross and RMOTC uses 25kW of the power for the unit) from 22,500 bpd of 192°F water. The unit is an air cooled unit.
There is no information yet on the RMOTC.doe.gov website.
Sep 23, 2008
DOE Partners with Australia and Iceland for Geothermal Technologies
Representatives from the United States, Australia, and Iceland have signed the charter of agreement to promote geothermal activities, according to newsblaze.com. The U.S. Department of Energy’s (DOE) Acting Assistant Secretary for Policy and International Affairs Katharine Fredriksen, Australia’s Ambassador to Iceland Sharyn Minahan, and Iceland’s Minister of Industry Energy and Tourism Ossur Skarphedinsson met in Reykjavik, Iceland, where they signed the agreement and participated in a two-day geothermal workshop.
This move will promote energy security and address climate change. The countries will work together to identify resources, share knowledge, and advance enhanced geothermal systems (EGS) technology.
“Enhanced geothermal systems have the potential to be the world’s only ever-present form of baseload renewable energy,” Fredriksen told press. “This international collaborative will bind the U.S., Australia and Iceland to work together to accelerate the development of geothermal energy, bringing this clean, domestic and natural energy to the market in the near-term to confront the serious challenges of climate change and energy security.”
The agreement establishes a steering committee to which each country party appoints two members. The U.S. representatives on the steering committee are DOE Geothermal Program Director Ed Wall and GEA Executive Director Karl Gawell.
To read the article: http://newsblaze.com/story/20080828113811tsop.nb/topstory.html
Sep 22, 2008
Geothermal Lease Sale
The state of Alaska received $3.5 million in bids for 16 tracts being sold. Ormat Nevada led the way, picking up 15 or the 16 bids.
Any doubts about serious interest in geothermal energy for Southcentral Alaska were dispelled on Sept. 10 at the state Mount Spurr geothermal lease sale. The state received an estimated $3.5 million in apparent high bonus bids, with all 16 tracts on offer being sold. Three bidders participated in the sale, with Reno-based Ormat Nevada picking up 15 of the tracts. Chad Attermann, a private individual with an address in Utah, picked up tract number 16.
Ormat Nevada outbid Iceland America Energy Inc. on four of the tracts. Two of those contested tracts lie in the centre of the lease sale area and attracted bids of $1.5 million and $1.4 million. Attermann outbid Ormat Nevada on tract 16 with a bid of $5,007
To read the full article (see page 1): Petroleumnews.pdf
Sep 22, 2008
BBC News: “Google and GE in energy deal”
Google and General Electric appear to be discussing ‘teaming up’ to develop clean energy technology and electricity. The goal to make renewable energy more useful and accessible. Google is a supporter of geothermal power generation but maintain that the benefits of renewable energy will not be realized without updating power transmission lines into a “smart grid” to let consumers track and control the type of power they use and when.
The internet giant Google has teamed up with technology multinational General Electric to develop a “smart” electric power grid and promote clean energy.
Both companies want to make renewable energy more accessible and useful.
In a joint statement they said: “Our economic, environmental and security challenges require we use electricity more efficiently and generate it from cleaner sources.”
“Clean energy is eminently doable and solvable,” said GE ceo Jeff Immelt.
“This just makes good sense,” said Google CEO Eric Schmidt.
To read the full article: http://news.bbc.co.uk/2/hi/technology/7622347.stm
